Chalfont St Peter leases on residential deteriorating in value. if your lease has in the region of 90 years remaining, you should start considering the need for a lease extension. If lease term is less than 80 years, you will then be required to pay half of the property's 'marriage value' on top of the standard cost of the lease extension to your landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Leasehold owners in Chalfont St Peter will mostly be legally entitled to a lease extension; however It would be wise to check with a lawyer to check if you qualify. In some cases you may not qualify. There are prescribed deadlines and formalities to comply with once the process has commenced so it’s prudent to be guided by a conveyancer during the process.
Leasehold properties in Chalfont St Peter with more than one hundred years left on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little upside in buying the freehold unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Coventry Building Society | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| Godiva Mortgages | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Using our service gives you enhanced control over the value of your Chalfont St Peter leasehold, as your property will be more valuable and saleable in relation to the lease length should you wish to sell. The lawyers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Last October Austin, came precariously close to the eighty-year mark with the lease on his one bedroom apartment in Chalfont St Peter. Having purchased his flat two decades ago, the unexpired term was of little importance. Luckily, he became aware that he would soon be paying an inflated amount for a lease extension. Austin extended the lease at the eleventh hour in January. Austin and the landlord in the end agreed on an amount of £6,000 . If the lease had dipped to less than 80 years, the figure would have gone up by a minimum £850.
Mr and Mrs. F Brown moved into a basement flat in Chalfont St Peter in January 2007. We are asked if we could approximate the compensation to the landlord could be for a 90 year extension to my lease. Comparative flats in Chalfont St Peter with 100 year plus lease were valued about £174,200. The mid-range amount of ground rent was £55 billed per annum. The lease terminated on 14 June 2076. Considering the 51 years unexpired we estimated the premium to the landlord to extend the lease to be between £31,400 and £36,200 not including legals.
An example of a Lease Extension matter before the tribunal for a Chalfont St Peter flat is Flats 8, 11 and 15 Craigmore Court 46 Murray Road in December 2013. The tribunal held that the price payable by the Applicant tenant of Flat 8 to acquire an extended lease shall be £26,438 plus £1 to the intermediate lessee . The tribunal held that the price payable by the Applicant tenants of Flat 11 to acquire an extended lease shall be £26,791 plus £1 to the intermediate lessee. The tribunal held that the price payable by the Applicant tenant of Flat 15 to acquire an extended lease shall be £26,638 plus £1 to the intermediate lessee . This case was in relation to 3 flats. The number of years remaining on the existing lease(s) was 71 years.